Analysts at Technavio, a market research company headquartered in London, UK, says recent research shows the global aluminum welding wires market will grow at a compound annual growth rate of more than 6% from 2017 to 2021.
The forecasted increase is a result of analysis into Technavio’s database of industry-specific companies, as well as surveys conducted with experts in welding and other industries which utilize aluminum welding wires.
Increased Demand for Lightweight Vehicles
“Aluminum is identified as a versatile material and is the second most chosen material after steel” says Chandrakumar Badala Jaganathan, a lead metals and minerals research analyst at Technavio. “It is used for applications in different end-use industries, such as building and construction, electrical, machinery, automotive, transportation, and other machinery.”
Auto manufacturers have long used aluminum because of it’s high strength-to-weight ratio. But increased government regulations which force auto manufacturers to maintain emission levels are also fueling the growth of the aluminum industry. The lightweight metal allows manufacturers to build strong vehicles without compromising the weight, and therefore, the fuel-efficiency.
There has also been an increase in the demand for aluminum welding wires for repair and maintenance applications in various sectors, especially automotive.
“The increase in vehicle numbers also leads to a higher requirement for maintenance and repair services,” says Chandrakumar. “This drives the demand for aluminum welding wires.”